Narwhal Capital Management Trims Position in PepsiCo, Inc. $PEP

Narwhal Capital Management trimmed its stake in PepsiCo, Inc. (NASDAQ:PEP) by 21.8% in the 2nd quarter, Holdings Channel.com reports. The institutional investor owned 43,887 shares of the company’s stock after selling 12,204 shares during the period. Narwhal Capital Management’s holdings in PepsiCo were worth $5,942,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in the stock. Evergreen Advisors LLC bought a new stake in shares of PepsiCo during the first quarter valued at approximately $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in PepsiCo in the fourth quarter worth approximately $26,000. Swiss RE Ltd. purchased a new position in PepsiCo during the 4th quarter worth $28,000. Atlatl Advisers LLC bought a new stake in PepsiCo during the 2nd quarter valued at $31,000. Finally, Imprint Wealth LLC bought a new stake in PepsiCo during the 3rd quarter valued at $31,000. 73.07% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on PEP shares. Barclays increased their price target on PepsiCo from $138.00 to $142.00 and gave the stock an “equal weight” rating in a research report on Tuesday, July 21st. Piper Sandler set a $176.00 price objective on shares of PepsiCo in a research note on Thursday, July 9th. Evercore set a $150.00 target price on shares of PepsiCo in a research report on Thursday, July 9th. Morgan Stanley reduced their price target on shares of PepsiCo from $180.00 to $160.00 and set an “equal weight” rating for the company in a report on Friday, July 10th. Finally, BNP Paribas Exane lowered their price target on shares of PepsiCo from $195.00 to $183.00 and set an “outperform” rating for the company in a research report on Wednesday, July 8th. Seven investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $157.90.

PepsiCo Trading Up 1.4%

Shares of NASDAQ PEP opened at $140.13 on Wednesday. PepsiCo, Inc. has a 1-year low of $133.73 and a 1-year high of $171.48. The business has a fifty day moving average price of $140.10 and a 200 day moving average price of $150.47. The stock has a market capitalization of $191.26 billion, a P/E ratio of 18.37, a price-to-earnings-growth ratio of 3.09 and a beta of 0.35. The company has a debt-to-equity ratio of 1.91, a current ratio of 0.93 and a quick ratio of 0.74.

PepsiCo (NASDAQ:PEP) last announced its earnings results on Thursday, July 9th. The company reported $2.20 EPS for the quarter, topping analysts’ consensus estimates of $2.19 by $0.01. The business had revenue of $24.18 billion during the quarter, compared to the consensus estimate of $23.95 billion. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The firm’s revenue was up 6.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.92 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Equities research analysts expect that PepsiCo, Inc. will post 8.57 EPS for the current fiscal year.

PepsiCo Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Friday, September 4th will be paid a dividend of $1.48 per share. This represents a $5.92 annualized dividend and a dividend yield of 4.2%. The ex-dividend date is Friday, September 4th. PepsiCo’s payout ratio is 77.59%.

PepsiCo News Roundup

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s status as a long-standing dividend payer continues to attract income-focused investors. Its yield is described as more than four times that of the S&P 500, providing support while the stock trades well below its 52-week high. Meet the Dividend King Stock That Yields More Than Quadruple the S&P 500
• Positive Sentiment: A reported global review of PepsiCo’s marketing operations could expand the use of artificial intelligence, potentially improving advertising efficiency, consumer targeting and cost control. PepsiCo reportedly launches global AI marketing transformation review
• Positive Sentiment: PepsiCo reported increased recycled content in its plastic packaging, a development that may improve its sustainability profile and help address regulatory and consumer pressure on packaging waste. PepsiCo reports increase in recycled content for plastic packaging
• Neutral Sentiment: Brand refreshes, new products and value offerings are intended to rebuild consumer momentum, but analysts expect any recovery to be gradual because of softer North American demand. PepsiCo’s Brand Refresh: Is it Enough to Win Back Consumers?
• Negative Sentiment: Ferrero’s acquisition activity is increasing competitive pressure across packaged foods and snacks, placing PepsiCo’s brands on notice and potentially raising the need for additional investment. Ferrero’s M&A moves put General Mills, Post, and PepsiCo on notice
• Negative Sentiment: Reporting that PepsiCo paid $237 million to Russia last year despite previously saying it would leave the country creates reputational, geopolitical and potential regulatory concerns. PepsiCo said it would leave Russia

Insider Buying and Selling

In related news, EVP David Flavell sold 2,900 shares of the stock in a transaction that occurred on Monday, July 27th. The shares were sold at an average price of $139.54, for a total transaction of $404,666.00. Following the completion of the sale, the executive vice president owned 74,825 shares of the company’s stock, valued at $10,441,080.50. This represents a 3.73% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.12% of the stock is owned by insiders.

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ: PEP) is a multinational food and beverage company headquartered in Purchase, New York. The company develops, manufactures, markets and sells a broad portfolio of branded food and beverage products, including carbonated and noncarbonated soft drinks, bottled water, sports drinks, juices, ready-to-drink teas and coffees, salty snacks, cereals, and other convenient foods. Its leading consumer brands include Pepsi, Mountain Dew, Gatorade, Tropicana, Quaker, Lay’s, Doritos and Cheetos, among others.

Formed through the 1965 merger of Pepsi-Cola and Frito-Lay, PepsiCo has grown into a global business with integrated manufacturing, distribution and marketing operations.